Tata Motors-owned Jaguar Land Rover (JLR) has invested an additional 100 million pounds (nearly Rs 882.9 crore) at Castle Bromwich plant in Birmingham to start manufacturing sports sedan Jaguar XE at the facility.

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Following the huge demand for Jaguar's two latest models, F-Pace and XE, Jaguar XE is to be built at Castle Bromwich -- marking the return of all Jaguar sports and sedan car manufacturing to the Birmingham site, JLR said in a statement.

Production of XE will gradually transfer from its current home at Solihull to Castle Bromwich, it added.

"The significant investment to create two centres of excellence in aluminium vehicle manufacturing, utilising shared technologies, was deliberate. It gives us the flexibility to quickly respond to consumer demand for our growing range of products," JLR Executive Director Wolfgang Stadler said.

The 100 million pounds (around Rs 888.20 crore) investment to welcome the latest model takes the total capital invested in the Castle Bromwich site to more than 500 million pounds over the last two years, the company said.

The Jaguar XF, F-TYPE and XJ models are also built at the Birmingham plant.

"2016 is a pivotal year for Castle Bromwich. The arrival of the XE sees us increase our model lines and volume," Castle Bromwich operations director Nicolas Guibert said.

"This plant has a rich heritage and is undergoing its most significant transformation in decades, with major infrastructure projects either complete or under way. The commissioning of our all-new press line and launch of our body shop to support the introduction of XE means Castle Bromwich is future-proof," he added.